Published: 24 February 2026PIBEconomy
India-GCC Sign Joint Statement to Launch Free Trade Agreement Negotiations
India and the Gulf Cooperation Council (GCC) signed a Joint Statement on February 24, 2026 in New Delhi to formally launch negotiations for the India-GCC Free Trade Agreement. Commerce Minister Piyush Goyal and GCC Secretary General Jasem Mohamed Albudaiwi signed the statement.
GCC is India's largest trading partner bloc with bilateral trade valued at USD 178.56 billion (₹15.56 trillion) in FY25, accounting for 15.42% of India's total international trade. The FTA will cover trade in goods, customs procedures, trade in services, digital trade, SPS measures, IPR and MSME cooperation. The first round of formal negotiations is expected at GCC headquarters in Riyadh in the second half of 2026.
0Mains angle
Q: Analyse the strategic and economic significance of the India-GCC Joint Statement launching Free Trade Agreement negotiations, and its likely impact on India's external trade architecture.
Answer (50 words):
Piyush Goyal and Secretary General Jasem Mohamed Albudaiwi signed the Joint Statement on 25 February 2026 in New Delhi. FY25 India-GCC bilateral trade reached 178.56 billion dollars—15.42 per cent of India's total trade. The FTA covers goods, customs, services, digital trade, SPS, IPR and MSME; first Riyadh round scheduled.
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Practice MCQ from this story
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Linked questionEasy
India and the Gulf Cooperation Council (GCC) signed a Joint Statement in February 2026 to launch negotiations for which agreement?
Explanation · Correct answer BIndia and the GCC signed a Joint Statement on February 25, 2026 to formally launch negotiations for the India-GCC Free Trade Agreement. GCC is India's largest trading partner bloc with bilateral trade valued at USD 178.56 billion in FY25.
Frequently asked questions
What was signed between India and GCC in February 2026 regarding trade?
India and the **Gulf Cooperation Council (GCC)** signed a **Joint Statement on February 25, 2026** in New Delhi to formally launch negotiations for the **India-GCC Free Trade Agreement (FTA)**. **Commerce Minister Piyush Goyal** and **GCC Secretary General Jasem Mohamed Albudaiwi** signed the statement.
What is the current trade volume between India and GCC?
**GCC is India's largest trading partner bloc** with bilateral trade valued at **USD 178.56 billion (₹15.56 trillion)** in FY25. The GCC includes **Saudi Arabia, UAE, Kuwait, Qatar, Bahrain, and Oman** — home to millions of Indian diaspora.
What is the GCC and which countries are its members?
The **Gulf Cooperation Council (GCC)** is a political and economic alliance of six **Gulf Arab states**: **Saudi Arabia, UAE, Kuwait, Qatar, Bahrain, and Oman**. Founded in 1981, it coordinates economic, security, and social policies among member states.
Why is the India-GCC Free Trade Agreement significant for India?
The India-GCC FTA is strategically significant because: GCC is India's **largest trading bloc**; **8 million+ Indian diaspora** in GCC send remittances; India imports **60%+ of its crude oil** from GCC; and the FTA could boost **textile, gems, chemicals, and engineering exports** from India.
What sectors will benefit most from the India-GCC Free Trade Agreement?
Key beneficiary sectors include: **petroleum products** (India's refineries exporting to GCC); **gems & jewellery** (India's largest export to GCC); **textiles and garments**; **engineering goods**; **chemicals and pharmaceuticals**; and **services** (IT, healthcare, education).
